Latest news with #Q4FY25
Yahoo
3 days ago
- Business
- Yahoo
Vodafone Idea Ltd (BOM:532822) Q4 2025 Earnings Call Highlights: Navigating Growth Amidst ...
Revenue: INR110.1 billion for Q4 FY25; INR435.7 billion for FY25, a 3.8% quarter-on-quarter growth and 2.2% annual growth. EBITDA (excluding Ind AS 116): INR23.2 billion for Q4 FY25; INR92 billion for FY25, a 9.5% improvement over FY24. Reported EBITDA (including Ind AS 116): INR46.6 billion for Q4 FY25; INR181.3 billion for FY25, an improvement of INR10.2 billion over FY24. Depreciation and Amortization Expenses: INR55.7 billion for Q4 FY25. Net Finance Costs: INR62.6 billion for Q4 FY25. PAT Loss: INR273.8 billion for FY25, lower by INR38.5 billion compared to FY24. CapEx Investment: INR42.8 billion for Q4 FY25; INR96.2 billion for FY25. Cash and Bank Balance: INR99.3 billion as of March 31, 2025. 4G Population Coverage: Increased to 83% from 77% in March 2024. 4G Data Capacity Growth: 31% increase contributing to a 28% improvement in 4G speeds. Broadband Site Count: 4,94,600 as of March 31, 2025, up from 4,30,700 as of March 31, 2024. Store Expansion: Over 100 new flagship stores opened, totaling over 500 nationwide. Warning! GuruFocus has detected 4 Warning Signs with BOM:532822. Release Date: June 02, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Vodafone Idea Ltd (BOM:532822) has significantly improved its global ranking in mobile broadband speed, moving from 118th to 15th, and in the Network Readiness Index, moving from 60th to 49th. The company has initiated the rollout of 5G services in major cities like Mumbai, Delhi, Chandigarh, and Patna, with plans to expand to all 17 circles by August 2025. Vodafone Idea Ltd (BOM:532822) has made substantial investments in network expansion, adding over 6,900 unique broadband towers and enhancing 4G population coverage to 83%. The company has raised equity of INR614 billion during the year, including significant contributions from the government, Vodafone Group entities, and vendors like Nokia and Ericsson. Vodafone Idea Ltd (BOM:532822) has launched innovative postpaid and prepaid plans, such as the Vi Max Limitless postpaid data plans and the Super Hero and Nonstop Hero prepaid plans, which have driven growth in ARPU and subscriber base. Despite improvements, overall broadband penetration in India remains below 65%, indicating a significant gap in market coverage. The company's CapEx and network expansion plans are heavily dependent on securing additional debt funding, which is still in progress. Vodafone Idea Ltd (BOM:532822) continues to face challenges with subscriber loss, although there has been a reduction in the rate of loss. The AGR dues remain a significant financial burden, with an outstanding amount of approximately INR760 billion, impacting the company's financial stability. The company's engagement with the government for further relief on AGR dues is ongoing, with no concrete resolution yet, adding uncertainty to its financial outlook. Q: When should the benefits of network expansion become visible in terms of 4G additions? A: Akshaya Moondra, CEO: The 4G subscriber trajectory is improving, with a nominal increase last quarter and an addition of 0.4 million 4G subscribers this quarter. As we roll out our 5G network, we expect further improvements in subscriber metrics and a reduction in subscriber loss. Q: How has the experience been with the initial 5G launches? A: Akshaya Moondra, CEO: The uptake in cities like Mumbai, Delhi, Chandigarh, and Patna has been very positive, with over 60% of 5G device users switching to 5G. The launch has improved both 5G and 4G experiences, with no significant complaints received. Q: What are the plans for CapEx in FY26, and will the target of 220,000 sites be achieved? A: Akshaya Moondra, CEO: We have CapEx under implementation of INR5,000-6,000 crores, with plans to reach 84% population coverage. Achieving the full target of 220,000 sites will depend on securing bank funding. Q: Is there any engagement with the government regarding tariff changes to usage-linked pricing? A: Akshaya Moondra, CEO: This is an industry decision, not government-related. The industry needs to find a solution for incremental usage pricing to increase ARPUs, as entry-level tariffs are already at a decent level. Q: What is the status of the AGR dues and the potential for government relief? A: Akshaya Moondra, CEO: The AGR dues, including accrued interest, stand at INR760 billion. We are engaged with the government for a solution, and the government has the ability to offer relief, as seen with the 2021 reforms package. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Entrepreneur
20-05-2025
- Business
- Entrepreneur
The New India Assurance Reports Q4 Profit Dip Despite Operational Gains for FY25
Despite the dip in quarterly net profit, NIACL's operating performance showed notable improvement. Operating profit more than doubled to INR 516.8 crore in Q4FY25 from INR 208.8 crore in the year-ago period You're reading Entrepreneur India, an international franchise of Entrepreneur Media. The New India Assurance Company Ltd. (NIACL), an Indian general insurer, reported a marginal 2.1 per cent year-on-year decline in net profit at INR 346.6 crore for the quarter ended March 31, 2025, compared to INR 353.9 crore in the same period last year. The figures were disclosed in a regulatory filing submitted by the company on Monday. Despite the dip in quarterly net profit, NIACL's operating performance showed notable improvement. Operating profit more than doubled to INR 516.8 crore in Q4FY25 from INR 208.8 crore in the year-ago period. The underwriting loss narrowed significantly to INR 1,142.6 crore from INR 1,682.6 crore in Q4FY24, driven by lower claims and better cost controls. Gross written premium (GWP) in the fourth quarter rose 8.1 per cent year-on-year to INR 11,432.6 crore, signaling steady business momentum. Asset quality also improved, with the gross non-performing asset ratio falling sharply to 0.23 per cent from 0.72 per cent in the previous quarter. Operational efficiency gains were further evident as the combined ratio—a key indicator of profitability in the insurance sector—improved sequentially to 111.46 per cent from 116.28 per cent. For the full fiscal year 2024–25, NIACL recorded an all-time high GWP of INR 43,618 crore, reflecting a 3.86 per cent increase over the INR 41,996 crore reported in FY24. However, annual net profit declined 12.86 per cent to INR 2,988 crore, down from INR 3,429 crore in the previous year. The drop was primarily due to a provision of INR 802 crore made towards legacy non-moving reinsurance balances. Girija Subramanian, chairman & MD, NIACL, said, "It gives me great pleasure to inform you that NIACL has achieved an all-time high GWP of INR 43,618 crore in FY25, reflecting a growth of 3.86 per cent despite challenging market conditions. Even more encouraging is that our continued emphasis on profitable growth over the past several quarters is now yielding results." Subramanian highlighted a reduction in underwriting losses by 11 per cent, improved claim ratios, and a stronger solvency position. "The solvency ratio has improved from 1.81x in FY24 to 1.91x in FY25, underscoring the company's financial strength," she added.
Forbes
14-05-2025
- Business
- Forbes
Microchip Stock's Rally Isn't Built To Last
Microchip Technology stock (NASDAQ:MCHP), a firm that produces microcontrollers, mixed-signal, analog, and Flash-IP integrated circuits, surged nearly 12% in Friday's trading and is up 17% over the last five trading days. The increase follows the company's better-than-expected Q4 FY'25 earnings report (March year) and an optimistic revenue forecast for Q1 FY'26. Recent quarters have shown a slowdown in demand for Microchip's low-end semiconductors from sectors including automotive and industrial electronics, resulting in increased inventory and lower order volumes, which has driven the stock down approximately 50% from the peaks observed in mid-2024. So, has MCHP stock turned a corner? Is it an advisable investment at the current prices? We believe that MCHP stock appears unappealing, making it a very poor investment at its current price of about $60. There are several concerns regarding MCHP stock which make it unattractive, particularly given that its current valuation seems excessively high. We reach our conclusion by assessing the current valuation of MCHP stock against its operational performance in recent years along with its current and historical financial state. Our assessment of Microchip Technology across pivotal factors of Growth, Profitability, Financial Stability, and Downturn Resilience indicates that the company has a very weak operating performance and financial health, as detailed below. However, if you are looking for potential gains with lower volatility than individual stocks, the Trefis High Quality portfolio offers an alternative, having outperformed the S&P 500 and produced returns exceeding 91% since its establishment. When considering what you pay per dollar of sales or profit, MCHP stock appears overpriced compared to the overall market. • Microchip Technology has a price-to-sales (P/S) ratio of 5.2 compared to a figure of 2.8 for the S&P 500 • Furthermore, the company's price-to-free cash flow (P/FCF) ratio is 22.0 in contrast to 17.6 for the S&P 500 • Additionally, it has a price-to-earnings (P/E) ratio of 79.9 against the benchmark's 24.5 Microchip Technology's Revenues have significantly decreased over recent years. • Microchip Technology has experienced its top line decline at an average rate of 4.4% over the past three years (compared to an increase of 6.2% for the S&P 500) • Its revenues have decreased by 44.3% from $8.5 billion to $4.8 billion in the last 12 months (versus a growth of 5.3% for the S&P 500) • Furthermore, its quarterly revenues dropped 41.9% to $1.0 billion in the most recent quarter from $1.8 billion a year prior (compared to a 4.9% improvement for the S&P 500) Microchip Technology's profit margins are inferior to most companies in the Trefis coverage universe. • Microchip Technology's Operating Income for the last four quarters was $641 million, representing a subpar Operating Margin of 13.5% (vs. 13.1% for the S&P 500) • Microchip Technology's Operating Cash Flow (OCF) during this time was $1.1 billion, illustrating a modest OCF Margin of 23.6% (compared to 15.7% for the S&P 500) • For the last four-quarter stretch, Microchip Technology's Net Income was $309 million — indicating a low Net Income Margin of 6.5% (compared to 11.3% for the S&P 500) Microchip Technology's balance sheet appears quite fragile. • Microchip Technology's Debt stood at $6.8 billion at the end of the latest quarter, while its market capitalization is $30 billion (as of 5/9/2025). This results in a moderate Debt-to-Equity Ratio of 27.5%(compared to 21.5% for the S&P 500). [Note: A lower Debt-to-Equity Ratio is preferable] • Cash (including cash equivalents) constitutes $586 million of the $16 billion in Total Assets for Microchip Technology. This results in a poor Cash-to-Assets Ratio of 3.8% (compared to 15.0% for the S&P 500) MCHP stock has underperformed the benchmark S&P 500 index during several recent downturns. Concerned about the effects of a market crash on MCHP stock? Our dashboard How Low Can Microchip Technology Stock Go In A Market Crash? provides a detailed analysis of how the stock fared during and after previous market crashes. • MCHP stock declined 37.2% from a peak of $89.35 on December 27, 2021, to $56.14 on July 5, 2022, compared to a peak-to-trough drop of 25.4% for the S&P 500 • The stock fully rebounded to its pre-Crisis peak by June 30, 2023 • Since then, the stock has risen to a maximum of $99.49 on May 22, 2024, and currently trades around $60 • MCHP stock plummeted 49.9% from a high of $55.60 on January 13, 2020, to $27.89 on March 16, 2020, compared to a peak-to-trough fall of 33.9% for the S&P 500 • The stock fully recovered to its pre-Crisis peak by September 1, 2020 • MCHP stock dropped 60.6% from a high of $21.03 on June 15, 2007, to $8.29 on January 20, 2009, compared to a peak-to-trough decline of 56.8% for the S&P 500 • The stock fully recovered to its pre-Crisis peak by October 31, 2013 In conclusion, Microchip Technology's performance across the factors mentioned above is as follows: • Growth: Extremely Weak • Profitability: Weak • Financial Stability: Weak • Downturn Resilience: Weak • Overall: Very Weak Moreover, considering its excessively high valuation, we find that the stock is highly unattractive, reinforcing our assertion that MCHP is a poor investment option. While it would be wise to steer clear of MCHP stock for the time being, you might consider exploring the Trefis Reinforced Value (RV) Portfolio, which has outperformed its all-cap stocks benchmark (a combination of the S&P 500, S&P mid-cap, and Russell 2000 benchmark indices) to deliver robust returns for investors. Why is that? The periodically rebalanced mix of large-, mid-, and small-cap RV Portfolio stocks has effectively capitalized on favorable market conditions while mitigating losses during downturns, as elaborated in RV Portfolio performance metrics.
Entrepreneur
10-05-2025
- Business
- Entrepreneur
Manappuram Finance Q4 Profit Slips 3% Amid Rising Costs, Consolidated Loss at INR 203 Crore
Despite a weak final quarter, Manappuram Finance reported an 8 per cent growth in standalone net profit for the full year, closing FY25 at INR 1,783.25 crore You're reading Entrepreneur India, an international franchise of Entrepreneur Media. Manappuram Finance Ltd reported a 3 per cent year-on-year decline in its standalone net profit to INR 414.3 crore for the fourth quarter of FY25, weighed down by a sharp increase in finance costs and provisioning for impaired financial instruments. The company disclosed the results in a regulatory filing on Friday. Interest income for the Kerala-based non-banking financial company rose 15 per cent year-on-year to INR 1,735.92 crore during the January–March 2025 quarter. However, total expenses surged 25 per cent to INR 1,191.51 crore, driven largely by a steep 25 per cent rise in finance costs, which climbed to INR 609.54 crore from INR 488.68 crore in the same quarter last year. Despite a weak final quarter, Manappuram Finance reported an 8 per cent growth in standalone net profit for the full year, closing FY25 at INR 1,783.25 crore. But the picture was notably different on a consolidated basis. The company posted a net loss of INR 203.18 crore for Q4FY25, a sharp reversal from a profit of INR 563.51 crore in Q4FY24. This was attributed primarily to a significant spike in loan loss provisions, particularly within its microfinance subsidiary, Asirvad Micro Finance. Impairment provisions on financial instruments soared nearly fivefold year-on-year to INR 919.21 crore during the quarter. The company's board, in a key leadership reshuffle, approved the appointment of Deepak Reddy as chief executive officer and key managerial personnel effective August 1, 2025. Current MD & CEO, Nandakumar VP, will be redesignated as managing director from July 31. Reddy will report directly to the MD. Additionally, the board approved an equity investment of up to INR 500 crore in Asirvad Micro Finance, to be made in one or more tranches. In a strategic move earlier this year, Bain Capital announced its entry into a joint control arrangement with the promoters of Manappuram Finance. Through its affiliates BC Asia Investments XXV and XIV, Bain will invest INR 4,385 crore via preferential allotment of equity shares and warrants, acquiring an 18 per cent stake in the company on a fully diluted basis.
